The former CEO of American Tissue, one of the largest paper product companies in the U.S. has been convicted of eng…
The former CEO of American Tissue, one of the largest paper product companies in the U.S. has been convicted of engineering a $300 million fraud in an attempt to save the company from bankruptcy.
Mehdi Gabayzadeh was accused of swindling banks, financial institutions and investors while he held his position as CEO of American Tissue, once the fourth-largest maker of toilet tissue and other paper products.
The company’s failure caused mills in Berlin and Gorham, N.H. to close in September 2001, at which point 850 workers lost their jobs. Another company has since bought the mills, which reopened in June of 2002, and now employ roughly 600 people.
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